Investors book N5.51trn in record weekly gain

The Nigerian Exchange Limited (NGX) has continued its historic 2026 bull run, with market capitalisation surging by N5.51 trillion in its latest weekly rally.

This significant weekly gain reinforces the exchange’s position as one of the best-performing frontier markets globally this year, driven by aggressive investor interest in large-cap stocks and a wave of positive corporate earnings.

The latest surge has propelled the total market valuation toward the N145.34 trillion mark, a staggering jump from the N99.38 trillion recorded at the start of January.

This growth represents a year-to-date (YtD) return of approximately 45.04 percent, signalling a profound re-rating of Nigerian equities amid ongoing structural reforms and a massive recapitalisation exercise in the banking sector concluded in March.

The benchmark All-Share Index (ASI) has mirrored this trajectory, recently shattering the 225,000-point psychological barrier to 225,722.49 on Friday April 24.

“Despite the index’s strong year-to-date return of 45.04 percent and market capitalisation now exceeding N145 trillion, attractive investment opportunities remain. Several fundamentally sound companies across key sectors continue to trade at reasonable valuations relative to their earnings potential and growth prospects,” VNL Capital research analysts said.

Forty-six equities appreciated in the trading week to Friday, April 24, fewer than 61 equities in the preceding week. Fifty-three equities depreciated, higher than 36 equities in the preceding week, while 47 equities remained unchanged, lower than 49 recorded in the preceding trading week.

Read also: Six ways the market wins from NGX expanded trading window

Ahead of September 21, when Nigeria will regain its Frontier Market status, there is a visible shift of capital into value stocks. Companies like Seplat Energy, MTNN, Airtel Africa, GTCO, Zenith, First Holdco, Aradel Holdings and UBA are among the beneficiaries of early funds flows into value tickers.

Also, with pension fund administrators (PFAs) and local institutional investors seeking a hedge against inflation, the equity market has become the preferred destination for liquidity over fixed-income instruments.

While some analysts have voiced concerns over a potential overbought market, many insist this is a fundamental structural shift rather than a bubble.

“The market’s structure remains firmly bullish, supported by sustained liquidity inflows into Banking, Industrial, and Consumer Goods names.

“However, with a growing number of stocks trading at or near short-term highs, we expect a more selective approach to positioning, characterised by rotational flows across sectors and intermittent profit-taking”, said Lagos-based Vetiva Research analysts.

According to them, “investors are likely to continue positioning as earnings trickle in, which should provide the next major catalyst for directional bias. In the near term, the absence of negative macro triggers suggests that sentiment will remain positive, although elevated price levels may temper the pace of gains”.

The market began the year testing the 100,000-point level—a milestone that was once considered a long-term goal but has now been left far behind.

Lenders like GTCO, Zenith Bank, and First Holdco and UBA have seen significant volume as they bolstered their capital bases after the CBN recapitalisation exercise, which ended in March.

Also, most robust full-year results from 2025 and first-quarter (Q1) 2026 reports have exceeded analyst expectations. Specifically, the consumer goods and energy sectors reported triple-digit profit growth, leading to higher dividend payouts.

Stock transactions rose to N4.14 trillion in the first quarter (Q1) of 2026, the highest quarterly transaction value in history. This single quarter’s transaction nearly doubles the N2.23trillion recorded in the same period in 2025, signalling a profound shift in market participation.

In January 2026, NGX recorded equities deals worth N861.9billion, in February the stock deals rose to N1.54 trillion, while in March it rose to N1.74 trillion.

According to the summary of equities transactions as at March 31, foreign investors accounted for stock deals worth N541.99billion or 13.06 percent, while local investors’ stock deals reached a high of N3.606trillion, representing 86.94percent of the total deal value in the first quarter of 2026.

To capture more investible funds into the Nigerian market, the NGX is expanding its trading window to now run from 9:00 am. to 4:00 pm, a development which many market watchers expect to attract even more foreign portfolio inflows (FPIs) as liquidity improves.

The market capitalisation, which stood at N145.334 trillion on Friday, April 24, implies that the N150 trillion market cap milestone is within reach.